Canadian demand for pre-owned electric vehicles surged to an unprecedented level in October, pushing used EV prices to their highest point so far in 2025. This record-breaking consumer interest comes even as more affordable used car options are appearing on the market compared to previous months.
Record-Breaking EV Market Share
According to a recent report from Clutch Inc., electric vehicles achieved a significant milestone in October, accounting for 4.29 per cent of all used car sales in Canada. This national record was bolstered by strong regional performances, with EVs making up 2.5 per cent of sales in Ontario and an impressive 7.35 per cent in Quebec, each setting new regional records.
Price Trends and Market Composition
The average price for a used electric vehicle climbed by 2.15 per cent year over year, reaching $42,047. The report clarifies that this increase is not due to individual models becoming more expensive, but rather a shift in the market's composition. A greater number of premium EVs are now entering the used car market, elevating the overall average price.
"The month’s gain came entirely from composition effects — more premium vehicles entering the mix — while most individual EVs transacted for slightly less," the analysis stated. "The same theme holds year over year: what’s selling has become pricier, even as like-for-like prices have softened."
Contrast with New EV Sales and Broader Market
This buoyant used EV market stands in stark contrast to the sector for new electric vehicles. Statistics Canada data from September revealed that new EV sales plummeted by 39.2 per cent in the third quarter compared to the previous year.
David Adams, chief executive of Global Automakers of Canada, commented on the decline in September, stating, "It speaks to the importance of having incentives if you want to move electric vehicles."
The upward price trend was not exclusive to electric vehicles. The overall used car market in October saw prices rise by 6.2 per cent year over year, hitting a new 2025 high of $34,352 on average. This was similarly driven by consumer preference for larger, higher-value, and increasingly electrified vehicles.
Affordability and Future Outlook
Despite the overarching price hikes, there is a silver lining for budget-conscious shoppers. The report indicated that more affordable used cars are becoming available. Approximately 24 per cent of used cars are now priced below $15,000, and just under 20 per cent of used SUVs are selling for less than $20,000.
Looking ahead, Clutch anticipates used vehicle prices will continue to climb through the late fall and winter, a period when consumers traditionally show more interest in trucks. The strength in used EV sales is also expected to persist.
A significant factor that could influence the market is the pending federal EV mandate review. The report noted, "The results, expected in the coming weeks, could reshape how automakers allocate EV supply and influence the pace at which new EVs enter the used market. If the mandate resumes in some form, it could accelerate the current trend of greater EV availability and, by extension, improve affordability within the segment."
